No Luck with Tata Technologies IPO Allocation

Hello friends,

I am doing good, and I hope that you are having a good time with your near and dear ones.

People who are active in the stock market are well aware of what an is IPO. This is the short form word and the full form is known as an initial public offering which is also similar to ICO in the crypto market. ICO is called an initial coin offering and the fundamental definition is the same for both.

Any company that is trying to get listed in the stock market goes through the IPO process in most cases. Before their official listing for the general public, they tried to get some money through the IPO. Most of the companies claim that the price they are offering through the IPO will be lower than the listed price. There is no such rule with these because there have been multiple scenarios where the listing price was less than the IPO price.

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We need to be careful while we are planning to invest in a company through IPO. If the listing price is less than the IPO lot price then it's a clear loss for the investor. This is why it is very important to invest in a company that is reliable and pre-investment research is highly recommended.

I applied for the Tata Technology IPO which is a hot news in media this time. I did apply for this last week for one lot and it is expected that the listing price for this stock will be higher than the ipo price. For those who do not know I would like to mention here that Tata is one of the biggest business houses in India. This business house is known for its ethical practices and people rely on them because they have proven in decades that how a fair business should run. They also have a track record that all their stocks are doing creating a market and IPO investors were able to make a good amount of returns.

Coming back to my story I did apply for the IPO. The price for 1 lot is 15k INR and I did lock this amount. The amount is locked by the trading account and if the lot is allocated to the investor then that money is withdrawn by the exchange. If there is no allocation for the IPO then this money is unlocked and it is sent back to the investor's account. This morning I got an email from my bank that the mandate for the payment has been revoked. It's a clear sign that I was not lucky enough to get the allocation in the IPO.

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Generally, I do not apply for so many IPOs and I think this is the second or third IPO I have applied for in the last two years. Maybe I was not lucky enough to be one of the people who got the allocation but never mind I'll be trying again with some other company later. I'm not part of the allocation but I will still try to see the price for this stock in the market once it is listed. Maybe I can think about it to invest in this stock later but for now, I'm not lucky enough to get the IPO lot with Tata technologies

Thank you
Peace @mukund123